tag:blogger.com,1999:blog-5141608268184418441.post-60513369394484081852008-04-07T09:57:00.000-04:002008-04-07T09:58:12.332-04:002008-04-07T09:58:12.332-04:00<DIV><FONT face=Arial size=2></FONT>&nbsp;</DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>The average price for a gallon of diesel fuel here in New England is $4.13 per gallon. Sure diesel fuel prices has had its ups and downs, but not until a few weeks ago when&nbsp;the price&nbsp;broke the $4.00 per gallon mark did it make such a big impression on me. </SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008></SPAN></FONT>&nbsp;</DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Why are the prices so high? For a few reasons:</SPAN></FONT></DIV> <UL> <LI><FONT face=Arial size=2><SPAN class=277511112-07042008>Worldwide demand, especially in China. </SPAN></FONT></LI> <LI><FONT face=Arial size=2><SPAN class=277511112-07042008>Cost for transitioning to Ultra Low Sulphur Diesel. Removing sulphur removes lubricating qualities from the fuel. Therefore, costly lubricating additives must be mixed with the fuel to maintain quality.</SPAN></FONT></LI> <LI><FONT face=Arial size=2><SPAN class=277511112-07042008>The excise tax on diesel fuel is $.06 higher than that of regular gasoline.</SPAN></FONT></LI></UL> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>My point, for this post, is even if the price of diesel fuel stays at approximately one dollar more a gallon than regular fuel, owning and driving a diesel car (2008 VW Jetta TDI)&nbsp;still costs less per mile to drive. Some quick Math for comparison:</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008></SPAN></FONT>&nbsp;</DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Gasoline Toyota Corolla with a 15 gallon tank- approx. 30 mpg combined city/highway</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Regular Gasoline $3.27 X 15 gallon tank&nbsp;= $49.05&nbsp;for a fill up.</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Tank Trip Miles 15gallons X 30mpg = 450 Miles</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Cost per Mile $49.05 / 450 Miles = $.109 per mile&nbsp;</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008></SPAN></FONT>&nbsp;</DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Diesel VW Jetta with a 15 gallon tank - approx. 50 mpg combines city/highway</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Diesel Fuel $4.13 X 15 gallon tank = $61.95</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Tank Trip Miles 15 gallons X 50mpg = 750 Miles</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Cost per Mile $61.95 / 750 Miles = $.083 per mile</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008></SPAN></FONT>&nbsp;</DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008>Even though filling up a 15 gallon diesel tank costs more, the overall cost per mile is almost $.03 less or almost 28% more economical.</SPAN></FONT></DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008></SPAN></FONT>&nbsp;</DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008></SPAN></FONT>&nbsp;</DIV> <DIV><FONT face=Arial size=2><SPAN class=277511112-07042008></SPAN></FONT>&nbsp;</DIV> <DIV align=left><STRONG><FONT face=Arial size=2></FONT></STRONG>&nbsp;</DIV> <DIV><FONT face=Arial size=2></FONT>&nbsp;</DIV><div class="blogger-post-footer">http://idvec.com/atom.xml<img width='1' height='1' src='//blogger.googleusercontent.com/tracker/5141608268184418441-6051336939448408185?l=www.idvec.com'/></div>Jameshttp://www.blogger.com/profile/06820981012332102448noreply@blogger.com0